It’s no surprise that the cannabidiol industry exploded lately, but numbers show that in 2020 it’ll reach $2.1 billion.
Now that more and more states legalized the medical use of CBD, the industry is rapidly growing because people are no longer afraid to use cannabinoid products to treat their medical problems.
If back in 2015, the market’s value was so small it didn’t even worth mentioning it, in 2015 it grew to $90 million, and everyone has started talking about it. In 2019, the total retail value of the CBD hemp products sold only in the United States of America reached around $700 million.
The latest report by the Hemp Business Journal states that in 2020 the CBD market values $2.1 billion. Some experts take their predictions further, and they estimate that by the end of 2021, the cannabidiol market size will be around $3billion.
Not only CBD enthusiasts welcomed the legalization movement with opened arms, but companies around the world also found the moment perfect to invest in CBD hemp-related products. The market reached the present value because people are integrating CBD in their beverages, food, cosmetics, pharmaceutical products, and many others.
Today, you cannot walk a street without seeing at least one shop selling CBD based products. It seems that companies from all industries are contributing to the rapid growth of this new market.
And this leads to a question: “How big is the market?”
The numbers are higher than most would expect
Everyone knows that cannabidiol is the legal and non-psychoactive compound found in marijuana. Industry after industry, they all integrated CBD into their products to meet the ever-growing request of the market.
Because the availability of the products increased gradually in the last five years, the CBD market exploded and reached $2.1 billion this year. But some statistics groups aren’t afraid to predict that by 2022, the market can hit a number close to $22 and that only in the USA. And because other statistics show that the American organic food market will probably reach $70 billion by 2025, it’s not so mind-blowing to trust the numbers.
Even if there is no extensive research to prove the medical benefits CBD products have, and the FDA hasn’t yet finished the guidelines that regulate the distribution of cannabidiol products, entrepreneurs don’t miss an opportunity to invest in this new product, everyone is talking about.
Comparable to Bitcoin’s rise
Financial experts compare CBD success to Bitcoin’s ascent in 2016 when everyone wanted to buy the so-famous cryptocurrency. And the ones crazy about healthy snacks go a step further and name it the new avocado toast. An innovation that will probably change people’s lives. The products’ popularity shows that its success isn’t fading shortly.
Where do you count that even the Oscar awards added some premium CBD hemp flower products in the goodie bags guests received? Celebrities like Mandy Moore and Martha Stewart work as brand ambassadors for CBD products and praise their benefits.
When the New York Times publishes an article on the subject, the average blog gets over 35.000 shares. So, we expect every moment CBD to go viral. Maybe not every moment, now that the world is facing a pandemic. But there are high chances the pandemic to increase the CBD product consumption because they are promoted as natural remedies for fighting anxiety and depression. And with half of the planet locked inside their houses, depression, and anxiety will soon hit.
Most of the companies sell their products online and deliver the packages to the client’s home, so its popularity is about to grow if one celebrity advertises it as the solution they’ve found for their mental breakdowns.
CBD breaks stereotypes
For a long time, cannabis had a bad reputation, and everyone who was using it was named a stoner. But CBD proves that some cannabis components don’t induce a euphoric state, and they have a positive impact on the endocannabinoid system. Both humans and animals have the ECS that regulates fertility, reproduction, memory, appetite, mood, and sleep. CBD products reduce exercise-related inflammation and fight insomnia.
So, it’s right to state that it breaks stereotypes because from a product everyone was afraid to use, now over 25% of Americans report they tried CBD, and one in seven states they are using it daily. Consumer Reports states that 40% of Millennials have used CBD products. Surprising? Not really because CBD is popular among individuals in their 20s. Baby boomers also find them helpful because 15% of them used a derived product.
The CBD enthusiast is a new type of cannabis consumer
The average CBD consumer is different from the stoner all movies depict. They don’t spend their entire days locked inside their house, playing video games and surviving on Cheetos. Actually, the film couldn’t describe them more wrongly.
When people turn to CBD products, they don’t do it to find a mellow haze in their secret life. They are using them to improve their cognitive function, fight post-workout symptoms, tackle health problems, or relax.
People find CBD exciting because it has many benefits. It’s a flexible product with many applications. Various industries find it multiple uses. From health enhancements to beauty products and wellness solutions, they all can include CBD to boost their effects.
The myriad possible applications have fired the imaginations of investors and entrepreneurs, and allowed them to create an innovative range of products that increased the value of the market.
Some of the most exciting products that include cannabidiol are:
- Treats for pets. People want their furry children to get the same benefits they have when they use CBD.
- Beauty and skincare products. Manufacturers add it to lip balms, serums, face creams, and shampoos.
- CBD infused bath bombs. People are always in a search for ways to relax, and bath bombs infused with cannabidiol don’t fail to offer them the expected effects
- Coffee infused with CBD to fight the side effects of caffeine.
CBD products have taken over the world, from social media to the cup of coffee we drink in the morning.
Interesting related article: “What is CBD?“